Flow

Lido Staked ETH

Reserve

Jump Trading — the market maker who contributed to the recent market correction — is still selling Ether, but the market may be approaching a bottom.
Jump Trading sold another 11,501 Ether (<a href="https://cointelegraph.com/ethereum-price">ETH</a>) worth over $29 million and redeemed another $48 million worth of Ether in preparation for selling.
However, the selling pressure from the market maker is coming to an end, as Jump Trading only has another 21,394 Wrapped Lido Staked ETH (wstETH) worth $63 million, <a href="https://x.com/lookonchain/status/1821121384325714055" target="_blank" rel="noopener nofollow">according</a> to an Aug. 7 post by Lookonchain.
<blockquote data-ct-non-breakable="true">
 “Jump Trading started selling ETH again!”
</blockquote>
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-08/912aeb9c-9d47-4611-ad08-d68d8f99f271.jpeg" alt="Jump Trading sells another $29M Ether with $63M left to go — Is the bottom near?" title="">
 <figcaption style="text-align: center;">
 Jump Trading Ether selling. Source: Lookonchain
 </figcaption>
</figure>
Investors often follow the selling patterns of whales or large crypto-holding entities to gauge potential incoming selling pressure that could significantly impact a cryptocurrency’s price.
Related: <a href="https://cointelegraph.com/news/kamala-harris-chooses-governor-walz-us-presidential-running-mate">Kamala Harris chooses Minnesota Gov. Walz as US presidential running mate</a>
<h2 data-ct-non-breakable="true" id="did-market-makers-like-jump-trading-crash-ether-s-price-below-2-200">Did market makers like Jump Trading crash Ether's price below $2,200?</h2>
The current crypto market crash, which tanked Ether to a five-month low, is being directly linked to<a href="https://cointelegraph.com/news/crypto-market-crash-jump-trading-selling-qcp"> aggressive selling by Jump Trading</a>, according to QCP Group, one of Singapore’s first digital asset trading groups.
QCO Group wrote in an Aug. 5 report:
<blockquote data-ct-non-breakable="true">
 “The immediate trigger in crypto seems to have been aggressive ETH selling from Jump Trading and Paradigm VC. The move was probably exacerbated by market makers scrambling to cut short gamma as front-end ETH volumes spiked more than 30% to 120%!”
</blockquote>
Jump Trading sold over 83,000 worth of wstETH between July 24 and Aug. 5, <a href="https://x.com/lookonchain/status/1820321011730116636" target="_blank" rel="noopener nofollow">according</a> to Lookonchain. The market began crashing on July 24.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-08/1611fd6c-a0cf-4149-b7a8-58e60dad9e53.jpeg" alt="Jump Trading sells another $29M Ether with $63M left to go — Is the bottom near?" title="">
 <figcaption style="text-align: center;">
 Ether price, Jump Trading selling patterns. Source: Lookonchain
 </figcaption>
</figure>
Related: <a href="https://cointelegraph.com/news/marathon-digital-bitcoin-holdings-july-2024">World’s largest Bitcoin miner increased BTC holdings by $124M in July</a>
<h3 data-ct-non-breakable="true" id="is-the-eth-bottom-in">Is the ETH bottom in?</h3>
The Ether price bottom may be near, considering that Jump Trading is running out of Ether to sell.
However, Jump Trading was not the only market maker that aggressively sold into this correction.
Five of the top <a href="https://cointelegraph.com/news/market-makers-sold-300m-ether-august-2024">market makers have sold</a> a total of 130,000 Ether, worth over $290 million, while Ether’s price crashed from $3,000 to below $2,200.
The market makers include Wintermute, which sold over 47,000 ETH, followed by Jump Trading, with over 36,000 ETH and Flow Traders, with 3,620 ETH, in third place.
As for Ether, the token is still down over 23% on the weekly chart, but it was able to stage a relief rally, rising 3.29% on the daily chart, to trade at $2,533, as of 10:28 am UTC, Aug. 7.
<figure data-ct-non-breakable="true">
 <img src="https://s3.cointelegraph.com/uploads/2024-08/e8039e2a-a06a-40d3-8d5f-560753a7c03e.png" alt="Jump Trading sells another $29M Ether with $63M left to go — Is the bottom near?" title="">
 <figcaption style="text-align: center;">
 ETH/USD, 1-week chart. Source: Cointelegraph
 </figcaption>
</figure>
Moreover, the demand from the US spot Ether <a href="https://cointelegraph.com/learn/different-types-of-etfs">exchange-traded funds (ETFs</a>)&nbsp;may soon overpower the sellers, according to Michaël van de Poppe, the founder of MN Capital, who wrote in an Aug. 7 X post:
<blockquote data-ct-non-breakable="true">
 “The $ETH supply was created in 2024: $160 million. The net inflow in $ETH ETF in the past 2 days: $150 million. The demand is exceeding the supply.”
</blockquote>
Ethereum is “super undervalued” and ready for a “big run” with sustained <a href="https://cointelegraph.com/explained/what-are-etf-fund-flows-and-why-do-they-matter">ETF inflows</a>, added the founder.
Magazine: <a href="https://cointelegraph.com/magazine/bitfinex-hacker-bitcoin-2024-senator-lummis-bitcoin-strategic-reserve-bill-cointelegraph-magazine/">Criminal at Bitcoin 2024, BTC Strategic Reserve Bill, and more: Hodler’s Digest, July 28–Aug. 3</a>

Jump Trading sells another $29M Ether with $63M left to go — Is the bottom near?

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